Hybrids overtake petrol, EVs as top choice for festive car buyers: Grant Thornton Bharat survey

The Maruti Suzuki Grand Vitara offers a hybrid powertrain.

Hybrid vehicles have emerged as the preferred choice for Indian car buyers this festive season, surpassing both petrol and electric vehicles (EVs), according to Grant Thornton Bharat's latest survey.

Titled 'Festive drive: What consumers want in their next ride', the survey, which is based on responses from more than 2,800 consumers across age groups and cities, found that 38% of respondents prefer hybrid vehicles, compared to 30% for petrol and 21% for EVs. Diesel's share dropped sharply to just 8%.

The findings point to a clear shift towards transitional, fuel-efficient technologies, shaped by affordability, infrastructure readiness and policy incentives.

According to the survey, hybrid vehicles are gaining traction because they combine the practicality of conventional refuelling with improved fuel economy. While EVs continue to attract interest, challenges such as charging infrastructure gaps and range anxiety, especially in Tier 2 and Tier 3 cities, are limiting wider adoption. Hybrids are filling this gap as a bridge technology that balances sustainability and convenience.

Grant Thornton Bharat noted that state-level incentives have accelerated hybrid adoption. Road tax waivers for strong and plug-in hybrids in states like Delhi and Uttar Pradesh have narrowed the cost gap with EVs. At the same time, rising fuel prices and tightening Corporate Average Fuel Efficiency (CAFE) norms are pushing automakers to expand their hybrid portfolios.

In the past year, more than 15 hybrid models have been launched across segments, with at least eight more expected by March 2026, indicating a strategic pivot by manufacturers towards hybrid technology. This reflects the growing market demand for greener yet accessible mobility options.

The preference for hybrids is also aligned with other evolving consumer trends highlighted in the survey. SUVs remain the most popular body style, chosen by 64% of respondents, while 34% prioritised safety over price and mileage, indicating a maturing, more informed buyer base. Additionally, over 35% of respondents are willing to pay more for higher-end variants, showing continued demand for feature-rich, premium vehicles.

Overall, the survey projected a strong festive season for India's passenger vehicle market, supported by policy tailwinds such as GST 2.0, stable interest rates, and rising disposable incomes. The combination of affordability reforms and consumer preference for hybrid powertrains signals a pivotal moment for India's transition towards cleaner, more efficient mobility.